China's official manufacturing PMI rose in September, the National Bureau of Statistics reported on Monday, indicating that factory activity stabilised after months of contraction pressure. The reading hovered near the 50-point mark that separates growth from decline.
Manufacturers have grappled with weak domestic demand, a prolonged property downturn, and uneven export orders as global trade conditions shifted. The National Bureau of Statistics releases its official PMI on the final business day of each month, making Monday's data one of the earliest reliable signals of third-quarter momentum.
Economists at Nomura and Goldman Sachs had projected the headline index would print between 49.5 and 50.3, with the non-manufacturing services gauge remaining in modest expansion. New export orders and employment sub-indices were watched closely for evidence that Beijing's incremental stimulus measures were reaching factory floors.
A soft reading would intensify pressure on the People's Bank of China and the Ministry of Finance to expand support ahead of the fourth quarter. A firmer figure would bolster government claims that policy easing introduced earlier in the year had begun to take hold in the industrial sector.
The Caixin private-sector manufacturing PMI, scheduled for release later in the week, will offer a second read on conditions facing China's private manufacturers. This index weights smaller and export-oriented firms more heavily.